Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1887-01-14
Annual Report C. and o. Canal.

the annual report of the President was read,
of which the following is synopsis
In submitting to the stockholders of this
company the last annual report it was sug-
gested that the fattering result attained
during the preceding year should not be
regarded as indicative Of what the then
forthcoming year might produce, and that
continuation Of the struggle against OBJ
stacles and under disadvantages then exist
ing could not produce better results than
were then presented, and might-and most
certainly would, If floods or other disasters
should cause unusual damage-prevent as
favorable showing this year. The predic-
ton then ventured has been fully real lied,
and the causes which were then suggested
as likely to produce the result fereshadowed
actually came to pass during the year just
closed. The immunity from feshets which
marked the year 1885 was followed in the
succeeding year by three disastrous aud de-
structive floods. In no season during the
whole history of the canal has such an
amount of injury been done To the work as
during the freshets OF eighty-six.
To meet the heavy aud extraordinary ex
penses incident to these disasters, the re-
mainder of the repair bends of 1868 were
sold at prices ranging from Sc to 70, and
averaging about so cents on the dollar
Under the circumstances this was no easy
task, but under the authority entrusted 10
the president it was finally accomplished
and the cost OF the repairs was paid. OF
course this increase Of the bonded debt OF
the company has occasioned an increase in
the amount Of annual interest to be pro-
vided for.
The prolonged strikes in the coal regions,
tha inf
on the canal from the causes stated, neces-
sarily resulted in shrinkage Of coal ton
mage. This falling off reached the large
amount of 100000 tons A corresponding
decrease 10 revenue was the inevitable con.
sequence.
At the earnest solicitation of the boatmen
and Of influential citizens OF Allegany coun-
ty the rate for transportation of coal was
reduced from 80 TO 20 cents. This was an
experiment. II has proven to be an un-
successful one. Actual experience demon
strates that such rate cannot be main
tanned.
The situation becomes more embarrassing
when II is remembered that all of the assets
of the company have been used-that there
are no more repair bonds to fall back on In
the event of another flood A recurrence of
these floods is inevitable The extent of the
destruction they may entail cannot be con-
jectured. With steadily and gradually in
creasing Indebtedness, and without dollar
Of means TO repair in the event of a disaster,
destruction Of any considerable portion OF
the works (though nc, so disastrous as that
Of the past .eason) will amount to, for it
viii essentially produce, q total abandon
ment Of the canal as a waterway carrier.
Apart from the heavy loss which the
State would sustain in such contingency
the evils which would follow would be
many and serious The most direct, and in
fact the only competing line for transporta.
ton through Western Maryland 10 the cap
ital Of the country would be destroyed
Freight rates would be advanced and the
cost of the necessares of life would be en-.
HANGED. The rich and prosperous counties
Of Maryland, which are directly benefited
by the canal, would suffer greatly in many
ways, and the consumers OF coal in Balt
more and the cities Of the District would a
once be met with an advance in the price o
that article.
1t is vital to the State of Maryland and Il
the District cities that the canal should b.
maintained in good order as a suflicen
waterway for commerce. The United State
and the State Of Maryland ought to make
adequate proportional contribution for tn,
cost of such annual repairs Of the canal a
may exceed the amount of its net revenu,
applicable to such purpose.
There Is another source of danger which
seems to make IL more apparent that thi
aid be furnished. The repair bonds pro
vide that after default on the payment D
successive coupons TO mortgage may b.
foreclosed and the canal be closed. Defaul
has been made on two of the coupons. T,
avert a sale further default next JUL
must be avoided. The means must be pro
vided from some source. Whilst the com
pany may succeed In postponing this fore
closure for time, aid must come from th
] sources indicated to guard effectually agains
, the peril threatened from this quarter. Thi:
can emily be done by appropriate Legislation
on the part OF Congress aud the Genera
Assembly Of Maryland. As To the amour
} Of such aid, the form and the manner il
, which it should be given, II Is not deemed
proper TO suggest; but the fact that the al,
should be extended iSpgt one which admit
: Of doubt, controversy or dispute. .
} In the summer Of the past year the Con-
gress Of the United States passed an act EN-
titled "An act 10 provide tor protecting th
interests of the United States in the Pot,
mac river flats in the District of Columbia
/ BY that at the Attorney General of Ia
= United was directed 10 institute suit in IA
eapfesne Eaart - the District 81 -Col,la,,i
Il against all persons aud corporations WI
may have on pretend - have any right, III. 4,
claim or interest in any part of the lani q
water in the District o! Columbia within III
limits of the city OF Washington, or exter,o
to said limits and In front thereof toward
the channel of the Potomac river or its Hat,
In charge of the Secretary Of War, for tn
purpose OF establishing and making clca
the right Of the United States thereto
This company was made party defend
ant TO said suit, because IL claims 10 own III
| land between Its canal from Twenty sixt
street to Seventeenth street aud the Pot,
mac river. This part of its works, nane,
that between Twenth- sixth and Seventeenl
streets, was built along the shore Of, an
sometimes In, the Potomac river. This WA
done by virtue of an act OF the State of VII
ginia, Afterwards assented 10 by the State q
Maryland and the Congress of the Unite
States, which vested in this company IN lc
simple entertainments, piers and molcs alon
the shore OF the P0tsmac river, made for III
purpose of building the canal.
Since that time great additions have beel
made to this part Of the company's propert
by acci elton and aluvium, and the coinpan
claims the land so formed between its cana
and the river.
The counsel of the company has appears
90 its behalf in said suit, aud prepared sn,
filed full answer 10 the bill, setting iort
in detail the pretensions Of the company
What will be the result OF the litigation !
Of course yet to be determined, but there
reasonable ground to expect either a re
cevery Of the value of this property or sucl
a compromise as will DO satisfactory TO th
company.
We would state for the information 81 th'
stockholders that the Piedmont and Cum
berland Railroad have effected an cntranc'
to the canal basin at Cumberland by du'
process Of condemnation OF such lands I"
company as were required for this purpose
Ibis additional feeder 10 the canal may D.
o. benefit in the future. Owing 10 the al
most unprecedented early close VI navigA
uon this year il is the purpose Of the present
management 10 secure Ms early an opening
about.
~ wlll be observed that IN the first year
=, sut management saving OF over S3O,OOO
On me running expenses Of the canal was
II seS over the expenditures " the year
w. sun further reduction Of $e3 900
aaa